IIA IIA-CIA-Part3-3P - CIA Exam Part Three: Business Knowledge for Internal Auditing

Determining the cost of the product.

Developing pricing objectives.

Evaluating prices set by the competitors.

Selecting a pricing method.

Key processes across the entity which impact quality must be identified and included.

The quality management system must be documented in the articles of incorporation, quality manual,

procedures, work instructions, and records.

Management must review the quality policy, analyze data about quality management system

performance, and assess opportunities for improvement and the need for change.

The entity must have processes for inspections, testing, measurement, analysis, and improvement.

A future cost that is the same among alternatives.

A future cost that differs among alternatives.

A past cost that is the same among alternatives.

A past cost that differs among alternatives.

A detailed budget that identifies hardware resources for the project

A Gantt chart that identifies the critical path for completing the project

Change management controls to avoid technical conflicts within the application

A project plan with a flexible scope to accommodate legislative requirements

Requested backup tapes were not returned from the offsite vendor in a timely manner

Returned backup tapes from the offsite vendor contained empty spaces

Critical systems have been Backed up more frequently than required.

Critical system backup tapes are taken off site less frequently than required.

A company reports trading and investment securities at their market cost.

A building purchased last year for $1 million is currently worth $1.2 million, but the company still reports the building at $1 million.

A building purchased last year for $1 million is currently worth $1.2 million, and the company adjusts the records to reflect the current value.

A company reports assets at either historical or fair value, depending which is closer to market value.

A revenue calculation spreadsheet supported with price and volume reports from the production department

An asset retirement calculation spreadsheet comprised of multiple formulas and assumptions

An ad-hoc inventory listing spreadsheet comprising details of written-off inventory quantitates

An accounts receivable reconciliation spreadsheet used by the accounting manager to verify balances.

The maximum tolerable downtime after the occurrence of an incident.

The maximum tolerable data loss after the occurrence of an incident.

The maximum tolerable risk related to the occurrence of an incident.

The minimum recovery resources needed after the occurrence of an incident.

UDAs and traditional IT applications typically follow a similar development life cycle.

A UDA usually includes system documentation to illustrate its functions, and IT-developed applications typically do not require such documentation.

Unlike traditional IT applications, UDAs typically are developed with little consideration of controls.

IT testing personnel usually review both types of applications thoroughly to ensure they were developed properly.

Malware resulting in data leakage.

Exposure of sensitive data.

Lack of data encryption.

Lack of data back up.